Halister News

(Bloomberg) -- Citi global asset allocation strategists including Jeremy Hale cut global equities to slightly underweight from neutral, on the back of a downgrade to U.S. and European stocks, according to note.

• Within overall DM underweight, Japan remains at neutral
• EM stocks upgraded “across the board” to overweight
• In credit, U.S. IG raised to a bigger overweight, U.S. HY kept at slight overweight
  • European credit remains at slight underweight; EM external back to neutral
• Citi recommends being overweight government bonds markets, “especially the high yielding ones”
  • Downgrades German government bonds to slightly underweight
  • EM local remains at slightly overweight
• “The reflation wave has seen commodity prices rally strongly, global equities rally back toward 4Q highs, yields rise on risk free bonds and credit spreads tighten, at least in developed markets”: Citi
• NOTES
  • Earlier: European Banks Raised to Overweight After De- Rating: Citi
  • April 28: U.S. Individual Investor Bears Rise to Highest in Near 2 Months
  • April 26: U.S. Earnings Season Shows Biggest Drop in EPS Since 2009: JPM